G.R. No.

L-60637 September 30, 1982

BANK OF THE PHILIPPINE ISLANDS vs. COURT OF APPEALS, ET AL.
202 Phil. 959
FIRST DIVISION
[G.R. No. L-60637. September 30, 1982.]
BANK OF THE PHILIPPINE ISLANDS, petitioner, vs. THE HONORABLE COURT
OF APPEALS AND ROSARIO VILLAR, respondents.
Pacis and Reyes for petitioner.
Maximo A. Savellana, Jr. for private respondent.
SYNOPSIS
Petitioner bank was adjudged liable by the trial court to pay damages to private
respondent for the unauthorized withdrawal by means of forged checks of P17,000.00 out
of the total deposit of P17,403.25 in the account of the latter thereby resulting in the
dishonor for insufficiency of her funds of a check for P830.00 to pay her dressmaker
causing some embarrassment and mental anxiety on her part. The Court of Appeals
affirmed the decision which is now the subject of the instant petition for certiorari.
The Supreme Court found the award of moral and exemplary damages and attorney's fees
to be excessive considering that restitution of the amount withdrawn by means of the
forged checks have been made; that the forgery was shown to have been done skillfully
so that it could not have been detected easily by the bank's signature verifiers; and that
the negligence of petitioner and its employees was not tantamount to a degree of being
wanton and reckless. It modified the appealed decision by reducing the amount of moral
damages and attorney's fees awarded and eliminating the grant of exemplary damages.
Judgment modified.
SYLLABUS
REMEDIAL LAW; JUDGMENT; AWARD OP EXCESSIVE DAMAGES; MODIFIED
ON APPEAL; CASE AT BAR. Where the award of damages made by the trial court
and the Court of Appeals was excessive and hardly commensurate with the nature and
attendant circumstances of the tortious act imputed to the petitioner considering that the
amount of P17,000.00 which was illegally withdrawn was restituted by the petitioner to
private respondent; that the forgery of the checks had been shown to have been done so
skillfully that it could not have been detected readily and that the negligence of petitioner
and its employees was not tantamount to a degree of being wanton and reckless, the
decision appealed from should be modified insofar as the award of damages is concerned
by reducing the amount of moral damages and attorney's fees and eliminating the award
of exemplary damages, even if the issue involved is mainly factual in nature.
RESOLUTION
VASQUEZ, J p:
Our examination of the petition for review on certiorari, the comment of the respondents
thereon, and the reply to said comment revealed that the issue involved herein is mainly
factual in nature, and for said reason, the petition, under normal or routinary procedures,
does not merit being given due course.
We agree that under the undisputed facts on record, the petitioner should be faulted with
the unauthorized withdrawal by means of forged checks of P17,000.00 out of a total
deposit of P17,403.25 in the account of private respondent Rosario Villar, thereby
resulting in the dishonor for insufficiency of funds of private respondent's check for
P830.00 to pay her dressmaker. We also agree with the finding that the dishonor of said
check caused some embarrassment and mental anxiety on the part of the private
respondent.

However, we find the award of damages made by the trial court and the Court of Appeals
to be excessive and hardly commensurate with the nature and attendant circumstances of
the tortious act imputed to the petitioner. There was a complete restitution by the
petitioner of the amount of P17,000.00 which was withdrawn by an unauthorized person
thru the use of forged checks. The forgery of the checks had been shown to have been
done so skillfully that it could not have been detected readily by the petitioner's signature
verifiers. The negligence of the petitioner of its employees does not tantamount to a
degree of being wanton and reckless.
In short, we are of the view that the decision appealed from should be modified insofar as
the award of damages is concerned. The modification is to reduce the amounts granted by
way of moral damages and attorney's fees and to eliminate the award of exemplary
damages.
WHEREFORE, the decision appealed from is hereby modified by reducing the award of
moral damages and attorney's fees to P10,000.00 and P5,000.00, respectively, and
eliminating the grant of exemplary damages. No costs.
Teehankee (chairman), Makasiar, Melencio-Herrera, Plana, Relova and Gutierrez, Jr., JJ.,
concur.